[Congressional Record Volume 148, Number 61 (Tuesday, May 14, 2002)]
[Senate]
[Page S4331]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. WELLSTONE (for himself, Mrs. Lincoln, Mr. Dayton, Mr. 
        Kennedy, Mrs. Clinton, Mrs. Feinstein, and Mrs. Boxer):
  S.J. Res. 37. A joint resolution providing for congressional 
disapproval under chapter 8 of title 5, United States Code, of the rule 
submitted by Centers for Medicare & Medicaid Services within the 
Department of Health and Human Services relating to modification of the 
medicaid upper payment limit for non-State government owned or operated 
hospitals published in the Federal Register on January 18, 2002, and 
submitted to the Senate on March 15, 2002; to the Committee on Finance.
  Mr. WELLSTONE. Mr. President, I rise today to submit a Resolution of 
Disapproval to reverse a rule submitted by the Center for Medicare and 
Medicaid Services, CMS. The rule, which takes effect today, lowers the 
Medicaid Upper Payment Limit for non-State government owned or operated 
hospitals. It reduces the Federal Medicaid match, or Medicaid Upper 
Payment Limit, from 150 percent of the Medicare rate to 100 percent. 
According to the administration's budget, the rule will cut $9 billion 
over 5 years, money currently targeted to public hospitals and other 
``safety net'' health programs, the most vulnerable sector of our 
health care system. At a time when Medicaid programs in the States are 
struggling, we simply can't afford to take this amount from our health 
care safety net. Too many people will be hurt.
  The regulation will mean a loss of about $30 million for Minnesota's 
public health care system this year, potentially more in future years. 
Hennepin County Medical Center alone stands to lose about $10 million 
this year. This is a hospital that provides essential health care for 
thousands of Minnesotans. For many, it is the only place they can go. 
Other hospitals and clinics around Minnesota will also be deprived of 
needed funding. At a time when our health care system, and particularly 
our public hospitals are struggling just to survive, we ought not to be 
taking resources away from them like this.
  CMS Director Scully has attempted to justify this damaging reduction 
by pointing to instances in the past when States did not use the 
program's money for health care purposes. Director Scully is certainly 
correct. The program should be used for health care, not for anything 
else. But slashing the Upper Payment Limit means that none of this 
money goes to health care. That doesn't make any sense. The loopholes 
that existed in the program have already been closed. The rule is a $9 
billion transfer away from those who desperately need health care, 
purportedly in order to solve a problem, but the problem has already 
been fixed. The rule is not needed and will cause great harm. I urge 
colleagues to support this resolution of disapproval.

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